He planned on having the five homes rented out in hopes for a good return after five years. I told him he was getting too early in the game. The market was still going down. I advised him to wait until the market gave us the go signal.

I don't enjoy writing a blog like this--it's never fun to see your friend and client lose tens of thousands of dollars. But there is a great lesson to be learned here:

Listen to the market above all.

"What does that mean Joe?"

First, study if the market is going up or down. Second, avoid thinking in terms like: "the market is cheap, it can't go any lower." Third, it pays to be alert, interested and open-minded.

Disclaimer:All information in this Blog are deemed reliable but not guaranteed. Any action that you take as a result of information, analysis, or advertisement on this site is ultimately your responsibility. Consult your investment adviser before making any investment decisions."